HUBBARD TRIAL Day 3 Afternoon

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Posted by: Staff
Date: May 27 2016 3:51 AM

HUBBARD TRIAL DAY 3 AFTERNOON1:15- FIRST UP THIS AFTERNOON KELLY LITTLEJOHN NEWMAN IS A PHARMACIST THAT WORKS FOR MEDICAID. SHE IS AN 11 YEAR STATE EMPLOYEE. NEWMAN IS AN ANALYST THAT LOOKS AT LEGISLATION THAT CONCERNING MEDICAID. SHE REVIEWS LEGISLATION TO DETERMINE COST AND LOOK FOR WAYS TO SAVE THE AGENCY MONEY. NEWMAN DISCUSSES HOW A PBM WORKS, SHE SAYS THAT IN THE CASE OF MEDICAID THE ENTITY WOULD MANAGE ALL ASPECTS OF MEDICINE MANAGEMENT FOR MEDICAID PATIENTS. NEWMAN SAYS THAT IN 2013 THERE WAS A MOVE MADE TO PUT MEDICAID UNDER A PBM FOR MEDICAID. MS.NEWMAN IS GIVEN A DOCUMENT THAT BAXLEY OBJECTS TO ON THE GROUNDS HE HAS NOT SEEN IT. THE DOCUMENT IS AN EMAIL SHE RECEIVED WAS TO ALERT HER TO LANGUAGE THAT MIGHT CAUSE A PROBLEM. NEWMAN SAID THAT THE PBM BEING DISCUSSED  THAT APCI WAS THE ONLY ONE QUALIFIED UNDER THE LAW TO SET UP A PBM. THERE WAS A CONCERN THAT IF AN OUTSIDE AGENCY LIKE APCI WAS IN CHARGE THEY COULD KEEP REBATES THAT SHOULD GO TO MEDICAID. ALSO THERE WERE CONCERNS THAT THEY WOULD BE ABLE TO RAISE RATES AS MUCH THEY WANTED. BAXLEY STARTS CROSS ASKING NEWMAN IF THE LANGUAGE IN A STATE EXIBIT WAS EVER MADE INTO LAW, NEWMAN SAYS NO.

DONALD WILLIAMSON IS THE FORMER STATE HEALTH OFFICER. HE WAS IN THAT JOB 22 YEARS. WILLIAMSON SAYS HE WAS ASKED BY THE GOVERNOR TO LOOK AT THE MEDICAID DELIVERY SYSTEM AND DETERMINE IF THE SYSTEM COULD BE STREAMLINED IN SOME WAY. HE WAS ABLE TO HELP DEVELOP A MANAGED CARE SYSTEM. WILLIAMSON SAYS THEY WERE ALWAYS BROKE AND ALWAYS LOOKING AT WAYS TO CUT COSTS. WILLIAMSON SAID HE LOOKED AT CHANGING THE SYSTEM BY COMPARING WHAT THEY DO WITH OTHER AGENCIES. WHEN THE RESULTS CAME IN THEY DETERMINED THAT THERE WERE SAVINS TO B3 MADE.

THERE ARE DRAWBACKS TO PBM’S IN THAT THE STRUGGLE TO BE COMPETITIVE AND MANY PHARMACIES CAN’T PARTICIPATE AND LOSE MONEY. WILLIAMSON SAID AFTER LOOKING AT THE BUDGET THE MEDICAID AGENCY SAW A PROBLEM IN THAT IT WOULD ONLY ALLOW ONE GROUP APCI TO MANAGE THE PROGRAM.

 

WILLIAMSON SAID HE HEARD A RUMOR THAT HUBBARD WOULD BE MAKING MONEY OFF THE DEAL, BUT HE NEVER HEARD IT DIRECTLY FROM HUBBARD. WILLIAMSON DESCRIBES THE DOWNFALL OF HIS FRIENDSHIP WITH GREG WREN. THE TWO MEN ARE DESCRIBED AS BEST FRIENDS UP TO THE TIME THAT WILLIAMSON REFUSED TO ACCEPT THE LANGUAGE AS WRITTEN. WILLIAMSON TOLD HUBBARD HE DID NOT WANT WREN ON THE COMMITTEE BUT HUBBARD TOLD HIM TO WORK IT OUT WITH WREN. WILLIAMSON SAYS HE IS A REGISTERED LOBBYIST BUT BAXLEY CONTINUES TO OBJECT TO HART ASKING QUESTIONS ABOUT HIS BEING A LOBBYIST. THE JUDGE ALLOWS THE QUESTION. HART ASKS IF THERE HAVE BEEN CONCERNS FROM CLIENTS OVER THIS TRIAL WILLIAMSON SAYS NO.

BAXLEY BEGINS CROSS AT 2:15- BAXLEY SAYS WREN WAS NOT PUT ON THE CONFERENCE COMMITTEE. BAXLEY ASKS IF WREN WROTE THE LANGUAGE THAT WAS IN THE BILL. WILLIAMSON SAYS HE CLAIMED TO HAVE WRITTEN IT. WILLIAMSON ADMITTS HUBBARD KEPT WREN OFF THE CONFERENCE COMMITTEE, HUBBARD TOLD HIM THE LANGUAGE DID NEED TO BE CHANGED, AND ULTIMATELY IT WAS. BAXLEY TRIES TO TALK TO WILLIAMSON ABOUT SOMETHING THAT HAPPENED 20 YEARS AGO, HART OBJECTS THE JUDGE AGREES

AFTER A 20 MINUTE BREAK THE HEAD OF THE ALABAMA MEDICAID OFFICE STEPHANIE AZAR IS NEXT ON THE STAND. SHE HAS BEEN A STATE EMPLOYEE FOR 17 YEARS. AZAR DISCUSSES WHAT A PBM IS AND DURING THE 2013 LEGISLATIVE SESSION SHE LOOKED AT SEVERAL DIFFERENT COMPANIES WANTING TO START A PBM FOR THE ALABAMA MEDICAID AGENCY. KELLY LITTLEJOHN CALLED AZAR AND MADE HER AWARE OF THE BUDGET PROPOSAL OF A PBM THAT WAS BEING PUSHED BY APCI. AZAR CALLED WILLIAMSON TO INFORM HIM SHE WAS CALLING A MEETING TO DISCUSS THIS LEGISLATION. THERE WERE SEVERAL PROBLEMS AZAR SAW WITH THE LEGISLATION MAINLY IT WAS BELIEVED THAT MEDICAID WOULD BE FORCED INTO A PBM, AND THAT ONLY ONE PROVIDER WAS EVEN BEING CONSIDERED. AZAR MET WITH HUBBARD AND WILLIAMSON TO DISCUSS THE LANGUAGE IN THE BILL AND HOW IT WOULD NEGATIVELY IMPACT MEDICAID. HUBBARD TOLD THEM TO TALK TO GREG WREN.

IN A MEETING IN STEVE CLOUSE’S OFFICE AZAR, WREN, AND FERREL PATRICK AZAR EXPLAINED THAT THE PROPOSAL WOULD NOT SAVE ANY MONEY AND THE LANGUAGE NEEDED TO BE CHANGED. FROM THERE AZAR WENT TO THE GOVERNOR TO TRY TO WORK OUT THE PROBLEM. EVENTUALLY AZAR SAYS THE ISSUE GOT WORKED OUT.

BAXLEY CROSS…DURING A MEETING THAT HUBBARD HAD SUGGESTED AZAR SAID GREG WREN BECAME SO ANGRY HE PITCHED A FIT IN THE WORDS OF BILL BAXLEY, AZAR LAUGHED AND AGREED. AZAR SAID WREN BECAME IRRATE AND YELLED AND SCREAMED AT HER THAT THE LANGUAGE NEEDED TO STAY IN. AZAR SAID THAT ULTIMATELY THE LANGUAGE WAS CHANGED.

AZAR DISMISSED AND COURT ADJOURNED. FRIDAY STARTS OF WITH DOTHAN MAYOR MIKE SCHMITZ, CHAMBER PRESIDENT MATT PARKER, REP. PAUL LEE, AND ENTERPRISE MAYOR KENNETH BOSWELL START THINGS OFF.

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